SEM/PLS Application for Analysis of Factors Affecting Customer's Decision in Using Mobile Banking at Bank Mandiri Medan Gunung Karakatau Sub-Branch

Abstract

This study aims to examine the effect of perceived convenience, perceived usefulness, knowledge, risk perception, security and customer trust on the use of mobile banking at Bank Mandiri Medan Gunung Krakatau Sub-Branch. The number of respondents examined in this study were 150 respondents. All respondents are customers of Bank Mandiri Medan Gunung Krakatau Sub-Branch. This research uses a quantitative approach. The data in this study were obtained from the results of distributing questionnaires that had previously been through the trial phase and proved to be valid and reliable in measuring each research variable. The data in this study were analyzed using the Partial Least Square (PLS) analysis technique with the help of the Smartpls program. Based on the results of the analysis in this study, the results show that: (1) Perceptions of convenience, perceived benefits, perceived risk and trust can directly influence a customer's decision to use mobile banking, (2) Knowledge and security cannot directly influence the decision to use mobile banking; (3) knowledge can directly influence the decision to use mobile banking mediated by the perspective of benefits; (4) security may affect indirectly the decision to use mobile banking mediated by customer trust. The analysis also shows that 51.7% of decisions to use mobile banking for customers of Bank Mandiri Medan Gunung Krakatau Sub-Branch are influenced by perceptions of convenience, perceived benefits, knowledge, perceptions of risk, security and customer trust; 49.2% variance of customer perceptions of the benefits of mobile banking is influenced by perceptions of convenience and customer knowledge; 46.9% of customer confidence in mobile banking applications is influenced by customer risk perceptions of the use of mobile banking and where the system is in the mobile banking application. Keywords:perceived ease, perceived benefits, knowledge, perceived risk, security, trust, use of mobile banking, Partial Least Square.